AUD/USD Price Analysis: Retreats from 0.6780-90 resistance region
|
- AUD/USD snaps two-day winning streak by taking U-turn from three-week-old horizontal resistance.
- Firmer RSI, bullish MACD signals join ascending trend channel to keep buyers hopeful.
- 200-SMA, two-month-old ascending support line adds to the downside filters.
AUD/USD takes offers to renew intraday low near 0.6765 as traders await the key inflation numbers from China during early Friday.
In doing so, the Aussie pair reverses from a horizontal resistance area comprising multiple levels marked since November 15, between 0.6780 and 0.6790, to print the first daily loss in three. It’s worth noting that the quote is on the way to snapping a two-week uptrend on a weekly basis.
It’s worth noting, however, that the bullish MACD signals and firmer RSI joins a three-week-old ascending trend channel formation to keep AUD/USD buyers hopeful unless the quote stays beyond 0.6675 support.
Following that, the 200-SMA and an upward-sloping trend line from early October, respectively near 0.6610 and 0.6440, may lure the pair sellers.
Alternatively, AUD/USD buyers need a successful break of 0.6790, as well as sustained trading beyond the 0.6800 round figure to retake control.
Even so, the upper line of the stated channel, close to 0.6870 at the latest, will challenge the Aussie pair’s further upside.
Should the AUD/USD bulls manage to keep the reins past 0.6870, September’s high near 0.6915 will flash on their radar.
AUD/USD: Four-hour chart
Trend: Limited downside expected
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.